Could you provide a brief journey of how you arrived where you are today?
During the summer of 1969, I visited London. It was just before my graduation from the Shariah college of the Islamic University of Madinah Munawwarah, Saudi Arabia. I met several law professors teaching Islamic law in the UK, the most prominent among them being Prof Sir Norman Anderson. This was my first exposure to the Western world. I realized that, in order to be able to fully comprehend the role of the Shariah in the contemporary world, it is imperative to learn the laws and legal system prevalent in the world. Prof Anderson agreed to accept me as a student of comparative English and Islamic law at the School of Oriental and African Studies in London.
I joined the University of London in 1970. I further studied law at various universities in America and joined the New York Bar in 1983.Since then, in one capacity or another, I have been playing the role of a bridge builder between the worlds of Shariah and secular laws. Having observed the two systems closely over the past 40 years, I have found that there is much more which unites and complements the two systems than divides and conflicts them.
What does your role involve?
I advise clients as well as lawyers within the firm on developing Islamic finance agreements, reviewing documentation, coordinating between the Shariah supervisors or Shariah supervisory boards of the firm’s clients and counter parties, clarifying Shariah issues and advising on simpler Islamic finance alternatives for reaching the objectives of the parties. I also advise on Shariah issues as applicable under Saudi laws.
What is your greatest achievement to date?
Denton Wilde Sapte is among very few western law firms with a Shariah scholar as a partner. This long journey has required me to qualify in various jurisdictions and gain experience in the two distinct disciplines of law and Shariah. The ability to choose the best legal tools from both traditions and provide rational solutions to the contemporary financing needs of consumers has been a very rewarding experience.
Which of your products/services deliver the best results?
Our clients come to us because of our long-standing expertise and knowledge of the principles and values of Islamic finance. We are experienced in working with Shariah supervisory boards and committees in developing new structures and products. The knowledge of the team has helped us to understand the intricacies of the processes involved to ensure smooth and successful transactions for our clients and their customers.
We have developed centers of excellence in London and in our Middle East offices (UAE, Oman, Saudi Arabia, Qatar, Kuwait, Egypt, Turkey and Jordan). We have used the centers in a wide range of financings, including some of the most significant and groundbreaking Sukuk. Our Islamic finance team has also been recognized for its work in Shariah compliant funds.
What are the strengths of your business?
We have market-leading practitioners in Richard de Belder (London), Paul Holland (London), Matthew Sapte (London), Paul Jarvis (Abu Dhabi), Martin Brown (Doha) and Chris Aylward, (Dubai), among others. The ability of any member of the team to get my advice on Shariah issues expeditiously has been key in the timely delivery of documents involving complex structures. Our London and Middle East offices work closely together to provide a seamless service to our clients requiring Islamic finance advice.
What are the factors contributing to the success of your company?
Denton Wilde Sapte has had a long continuous presence in the Middle East. It has offices in each GCC country, as well as a large number of lawyers in our London and other offices with Middle East experience. Islamic finance contracts often involve multiple jurisdictions. Having access to predictable and high quality legal services from our various offices provides our clients with an unparalleled level of comfort and satisfaction.
What are the obstacles faced in running your business today?
Lack of standardization in the Islamic finance industry. Shortage of Shariah scholars who understand the nature and requirements of modern finance as well as the objectives of the Shariah.
Where do you see the Islamic finance industry in, say, the next five years or so?
There will be a shift from using multiple trade contracts for financing to more financing-focused contracts. Complex structures add unnecessary risks and costs. Ultimately, the success of Islamic finance will depend on the fairness and marketability of its products and not on the complexity of its structures. Islamic financial agreements must not only work in good times; they must also stand the test of bad times and controversies.
Name one thing you would like to see change in the world of Islamic finance.
I would like to see greater emphasis on substance and less reliance on forms and financial engineering. Islamic finance contracts should distinguish themselves from their counterparts on the basis of the Maqasid al-Shariah (Objective of the Shariah) —fairness; rationality; consistency; transparency in trade based on the informed consent of the parties; and free of compulsion, exploitation and deception. I would also like to see more activity in the area of micro finance. The poor and less fortunate must also enjoy the fruits of Islamic finance